Which probability distribution should I use?
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I write an assignment where I research the relationship between two variables. The first variable is the amount of capital requirement from Basel-III which is hold back for a given customer, and the second variable is how much money the company makes of the customer (profit). My data is positive skewed, bounded, continuous and independent. My regression analysis gives me an slope of 4% and correlations coefficient of 0.52.
Hypotheses 1: An increase in the amount of capital allocated should give an 3.57% increase in profit.
Hypothesis 2: The probability that the relationship between the two variables is correct is greater than 80%
Question: What probability distribution should I use and why should I use it?
probability statistics probability-distributions
edited Nov 26 at 12:42
Pedro
10.2k23066
asked Nov 25 at 18:55
pete415
12
add a comment |
up vote
-1
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I write an assignment where I research the relationship between two variables. The first variable is the amount of capital requirement from Basel-III which is hold back for a given customer, and the second variable is how much money the company makes of the customer (profit). My data is positive skewed, bounded, continuous and independent. My regression analysis gives me an slope of 4% and correlations coefficient of 0.52.
Hypotheses 1: An increase in the amount of capital allocated should give an 3.57% increase in profit.
Hypothesis 2: The probability that the relationship between the two variables is correct is greater than 80%
Question: What probability distribution should I use and why should I use it?
probability statistics probability-distributions
edited Nov 26 at 12:42
Pedro
10.2k23066
asked Nov 25 at 18:55
pete415
12
Cross-posted at stats.stackexchange.com/questions/378694/….
– StubbornAtom
Nov 25 at 19:48
add a comment |
up vote
-1
down vote
favorite
up vote
-1
down vote
favorite
I write an assignment where I research the relationship between two variables. The first variable is the amount of capital requirement from Basel-III which is hold back for a given customer, and the second variable is how much money the company makes of the customer (profit). My data is positive skewed, bounded, continuous and independent. My regression analysis gives me an slope of 4% and correlations coefficient of 0.52.
Hypotheses 1: An increase in the amount of capital allocated should give an 3.57% increase in profit.
Hypothesis 2: The probability that the relationship between the two variables is correct is greater than 80%
Question: What probability distribution should I use and why should I use it?
probability statistics probability-distributions
edited Nov 26 at 12:42
Pedro
10.2k23066
asked Nov 25 at 18:55
pete415
12
I write an assignment where I research the relationship between two variables. The first variable is the amount of capital requirement from Basel-III which is hold back for a given customer, and the second variable is how much money the company makes of the customer (profit). My data is positive skewed, bounded, continuous and independent. My regression analysis gives me an slope of 4% and correlations coefficient of 0.52.
Hypotheses 1: An increase in the amount of capital allocated should give an 3.57% increase in profit.
Hypothesis 2: The probability that the relationship between the two variables is correct is greater than 80%
Question: What probability distribution should I use and why should I use it?
probability statistics probability-distributions
probability statistics probability-distributions
edited Nov 26 at 12:42
Pedro
10.2k23066
asked Nov 25 at 18:55
pete415
12
edited Nov 26 at 12:42
Pedro
10.2k23066
asked Nov 25 at 18:55
pete415
12
edited Nov 26 at 12:42
Pedro
10.2k23066
edited Nov 26 at 12:42
Pedro
10.2k23066
edited Nov 26 at 12:42
Pedro
10.2k23066
10.2k23066
asked Nov 25 at 18:55
pete415
12
asked Nov 25 at 18:55
pete415
12
asked Nov 25 at 18:55
pete415
12
12
Cross-posted at stats.stackexchange.com/questions/378694/….
– StubbornAtom
Nov 25 at 19:48
add a comment |
Cross-posted at stats.stackexchange.com/questions/378694/….
– StubbornAtom
Nov 25 at 19:48
Cross-posted at stats.stackexchange.com/questions/378694/….
– StubbornAtom
Nov 25 at 19:48
Cross-posted at stats.stackexchange.com/questions/378694/….
– StubbornAtom
Nov 25 at 19:48
add a comment |
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Cross-posted at stats.stackexchange.com/questions/378694/….
– StubbornAtom
Nov 25 at 19:48